More than 2,000 staff will be made redundant after Sheffield-based delivery giant Tuffnells Parcels Express fell into administration.
The firm has appointed joint administrators at Interpath Advisory after failing to secure funding in recent weeks.
The majority of Tuffnells’ 2,200 employees, working across its 33 UK depots, will be made redundant, Interpath said.
Just 128 staff have been retained.
There will also be around 500 contractors who are set to be affected.
Transport hubs and depots at Tuffnells, which delivers large and bulky goods to more than 4,000 businesses across the UK, including retailers Wickes and Evans Cycles, will be closed until further notice.
Richard Harrison, the managing director at Interpath Advisory and joint administrator with Howard Smith, said: “Unfortunately, the highly competitive nature of the UK parcel delivery market, coupled with significant inflation across the company’s fixed cost base in recent times, has resulted in the company experiencing intense pressure on cashflow.
“Today’s news will be particularly devastating for Tuffnells’ 2,200 dedicated employees.
“Regrettably, with deliveries suspended and with no prospect of them resuming in the immediate term, we have had to make the majority of staff redundant.
“Our utmost priority will be to provide all those impacted with every support they need in making claims to the Redundancy Payments Office and minimising disruption to customers.”
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